2025 (4) TMI 2006

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ER This appeal filed by the assessee is directed against the order of the National Faceless Assessment Centre / Commissioner of Incometax (Appeals) ["CIT(A)" for short] dated 28.11.2023 for the assessment year 2014-2015. 2. Briefly the facts of the case are that the appellant is a company, registered under the Companies Act, 1956. It is engaged in the business of manufacture of ice and froze....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....rtly allowed the appeal deleting the addition made u/s.41(1) of the Act amounting to Rs. 9,73,497 by following the Tribunal order in assessee's own case for assessment year 2007-2008. The CIT(A) however confirmed the addition made on account of write off of tools and moulds and addition u/s.14A of the Act. The CIT(A) also confirmed the addition on account of freezer. 4. Being aggrieved, an appe....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... claim made by the appellant is correct, and accordingly, I direct the AO to allow the depreciation on the cost of moulds and tools amounting to Rs. 2,11,123. Ground Nos.3 and 4 challenges addition u/s.14A of the Act. It is the contention of the appellant that the own funds are far exceeds of investment made yielding the tax free income. Therefore, no disallowance of interest is called for. It is ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ank Ltd. v. CIT (2021) 438 ITR 1 (SC). In this case, undisputedly, own funds of the assessee are far exceeds the investment made, therefore, no disallowance u/s.14A of the Act is warranted. Thus, ground Nos.2, 3 and 4 are allowed. 6. Ground No.5 challenges the disallowance of depreciation on the cost of freezer as reduced by the deposits received from the distributors. The material on record cl....